1/10/12: FANNIE MAE CEO & PRESIDENT RESIGNS; MICHAEL WILLIAMS

10Jan

Today’s announcement that the CEO and President for Fannie Mae, Michael Williams plans to resign, is probably no surprise. Although they hired Williams when their troubles became even more clear back in 2009, he has had little impact.

The company released this statement today; “The time is right to turn over the reins to a new leader”, but no other reason was given. However, it probably had something to do with November’s net third-quarter loss of $5.1 Billion. Their total bailout total is up to $112.6 billion, which sounds like they moved backward instead of forward.

Hopefully they will find someone to get them back on track, because the housing market is still slowly trying to rebound and needs help. We all want it to turn around because it deeply affects the economy. The best thing going for the U.S. housing market, is that it’s still a great time to buy, due to low-interest rates and huge reductions in housing prices.

It was reported that Williams will continue as CEO until Fannie Mae’s board names a successor. We can never tell if they are forced out, or really resign.